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Cain did not have a background in economics or banking. He had a BA in mathematics and an MA in Computer Science. His only management experience was less than 3 years as manager of some 400 Burger Kings and less than 3 years as manager of around 600 Godfather’s Restaurants. This hardly qualified him to oversee policies for the banking industry.

 

Three months before his appointment on September 20, 1988, Cain had been given a loan of approximately $30,000,000 dollars by Citibank to buy Godfather’s Pizzas. He was in debt to Citibank for his entire net worth.

 

Cain admits that the loan was unusual in that he did not put up the usual 20-25% needed for the loan. Is it possible that Citibank got something in exchange for the loan more important than this down payment? Is it possible that Citibank got someone on the Federal Board who was totally unqualified, but seriously in debt to them, and would advocate whatever policies they wished?

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